April 19, 2010 Minutes of the Regular Meeting

ANN ARBOR DISTRICT LIBRARY BOARD
343 S. FIFTH AVENUE, ANN ARBOR, MI
MINUTES OF THE REGULAR MEETING
MONDAY, APRIL 19, 2010

10-186 I. CALL TO ORDER

President Head called the meeting to order at 5:40 p.m.

10-187 II. ATTENDANCE

Present: Head, Leary, Murphy, Rosenthal, Stearns, Surovell (arr. 5:43 p.m.)
Absent: Barney Newman
Staff: Choate, Neiburger, Nieman, Parker, Wilson (recorder)
Others: Jim Adams, Butzel Long

10-188 III. RECESS TO EXECUTIVE SESSION FOR DISCUSSION OF REAL ESTATE AND DIRECTOR’S EVALUATION

10-189 IV. RECONVENE REGULAR MEETING AT 7:00 PM

President Head reconvened the meeting at 7:08 p.m.

Trustee Surovell was absent.

10-190 V. APPROVAL OF AGENDA
(Item of action)

Secretary Leary, supported by Trustee Murphy, moved to approve the agenda.

AYES: Head, Leary, Murphy, Rosenthal, Stearns
NAYS: None

Motion passed 5-0.

10-191 VI. APPROVAL OF MINUTES OF MARCH 15, 2010
(Item of action)

Secretary Leary, supported by Trustee Murphy, moved to approve the minutes of March 15, 2010.

AYES: Head, Leary, Murphy, Rosenthal, Stearns
NAYS: None

Motion passed 5-0.

10-192 VII. CITIZENS’ COMMENTS

There were no citizens’ comments.
10-193 VIII. FINANCIAL REPORT

Associate Director Nieman reported the unrestricted cash balance was 9.6 million. March showed tax receipts of just over $11.3 million which reflects 97% of the budgeted amount received. The Fund Balance reflects just over $7.2 million. Four items are over the year-to-date budget in operating. The Utilities line may need adjustment. $50,250 was received from the Friends of the Ann Arbor District Library.

10-194 IX. APPROVAL OF DISBURSEMENTS
(Item of action)

Trustee Stearns, supported by Secretary Leary, moved to approve March disbursements.

AYES: Head, Leary, Murphy, Rosenthal, Stearns
NAYS: None

Motion passed 5-0.

10-195 X. COMMITTEE REPORTS

10-196 A. BUDGET AND FINANCE COMMITTEE

Treasurer Rosenthal reported the committee consisting of herself, Trustee Murphy and Trustee Surovell, met with Administration and discussed options for addressing the 2010-2011 budget shortfall.

10-197 B. POLICY COMMITTEE

Trustee Murphy reported the committee consisting of herself, Vice President Barney Newman and Trustee Stearns, met with Administration twice since the last Board meeting. The committee is recommending changes to the Board Bylaws to correspond to the change of the election schedule and two new policies per IRS requirements as outlined further in the agenda.

10-198 C. SPECIAL ISSUES/FAADL COMMITTEE

Secretary Leary reported the committee held discussion and have no changes to recommend to the space use agreement.

10-199 D. DIRECTOR’S EVALUATION COMMITTEE

President Head reported the Director’s Evaluation Committee met. Per Director Parker’s request the Board will perform her evaluation during closed session.

10-200 XI. DIRECTOR’S REPORT

Director Parker reported on National Library Week events. Traverwood Branch is featured on the current month cover of the Ann Arbor Observer. Moeller Design has won a silver Addy for the Traverwood Branch Library brochure.

10-201 XII. NEW BUSINESS

10-202 A. DISCUSSION OF PROPOSED 2010-2011 BUDGET

Associate Director Nieman reviewed the proposed 2010-2011 budget with the Board. Tax revenue reflects the millage rate of 1.55 mills with the assumption of a 6% decrease in property taxes leaving a budget deficit of $200,000. Three options were presented to address the budget deficit: increase the tax mills levied to 1.587; additional reduction of expenditure; use monies from the fund balance to balance the budget. No changes in services, reduction of hours, layoffs or closing of branches is being recommended. The expense side reflects reduction in the following line items: Capital Outlay, Library Programming, Software Licenses, and Materials. Increases are reflected in Building Rental, Circulation Supplies, and Postage. No merit increases will be offered. Health insurance numbers are based on current rates and employees will be asked to share any increase in rates. A breakdown of expenses by branches and departments was also presented.

It was the consensus of the Board to proceed with balancing the proposed budget with monies from the fund balance.

10-203 B. DISCUSSION OF PROPOSED BOARD BYLAWS REVISION

Trustee Murphy informed the Board the Policy Committee is recommending the proposed bylaw revisions which are technical changes resulting from moving Board elections from May to November. Moving the annual meeting from July to January will result in an extension of office for this year only.

After discussion it was consensus of the Board to move the proposed bylaw revisions to an action item at the May Board meeting.

10-204 C. DISCUSSION OF PROPOSED CONFLICT OF INTEREST-LIBRARY ADMINISTRATIVE EMPLOYEES POLICY

Trustee Murphy informed the Board the Policy Committee is recommending the proposed Conflict of Interest policy. This policy affects only administrative positions listed in the policy and is the result of IRS requirements.

After discussion it was consensus of the Board to move the proposed policy to an action item at the May Board meeting.

10-205 D. DISCUSSION OF PROPOSED LEGAL COMPLIANCE POLICY

Trustee Murphy informed the Board the Policy Committee is recommending the proposed Legal Compliance policy. This policy incorporates whistleblower protection and is the result of IRS requirements.

After discussion it was consensus of the Board to move the proposed policy to an action item at the May Board meeting.

10-206 E. RESOLUTION TO ADOPT EXTENSION OF SPACE USE AGREEMENT WITH THE FRIENDS OF THE ANN ARBOR DISTRICT LIBRARY
(Item of action)

Secretary Leary expressed the Special Issues/FAADL committee’s pleasure with the continued growth of the positive relationship with the Friends. Neither the committee nor the Friends desire adjustment to the space use agreement.

Secretary Leary, supported by Trustee Stearns, moved that the President of the Board of Trustees of the Ann Arbor District Library be authorized to sign a one year extension of the space use agreement along with the President of the Board of the Friends of the Ann Arbor District Library and that all resolutions and parts of resolutions that conflict with the provisions of this resolution are rescinded.

AYES: Head, Leary, Murphy, Rosenthal, Stearns
NAYS: None

Motion passed 5-0.

10-207 F. VOTE FOR EXECUTIVE SESSION AT THE MAY 17, 2010 REGULAR BOARD MEETING FOR DISCUSSION OF REAL ESTATE, DIRECTOR’S EVALUATION, LABOR NEGOTIATIONS & OPINION OF LEGAL COUNSEL
(Item of action)
Roll call vote

Secretary Leary, supported by Trustee Stearns, moved to hold an Executive Session at the May 17, 2010 regular Board meeting for discussion of real estate, director’s evaluation, labor negotiations and opinion of legal counsel.

A roll call vote was taken.

AYES: Head, Leary, Murphy, Rosenthal, Stearns
NAYS: None

Motion passed 5-0.

10-208 XIII. ADJOURNMENT

President Head adjourned the meeting at 7:42 p.m.